Linqto-bankrades reveal illusion before the IPO: Customers may never have had the promised shares-legal risks and consequences for fintech companies.

Linqto-bankrades reveal illusion before the IPO: Customers may never have had the promised shares-legal risks and consequences for fintech companies.

Linqto insolvency: The illusion before the IPO and the legal risks for fintech

The Linqto's bankruptcy has numerous questions about the legal situation in the Fintech area. At a time when many investors rely on the so-called pre-IPO market, the case of Linqto reveals a disturbing reality: customers may never have had the promised shares. This throws a bright light on the legal risks associated with investments in FinTech companies.

Linqto had tried to enable private investors to access companies before their IPO. This was attractive for many investors, since the acquisition of shares in front of the public offer is often associated with high chances of return. However, the company's bankruptcy suggests that the structure and the promises behind these investments may not be as solid as many believed.

A central problem that comes to light due to the bankruptcy is the legal question of the possession of shares. If customers have not acquired real shares, but only promised to own them, the question of responsibility and the legal means that investors are available arises. This could not only have far-reaching consequences for Linqto itself, but also for the entire fintech industry.

The financial and legal consequences of this bankruptcy concern not only the company, but also the customers who have trusted the promised investments. The incident serves as a warning example of how important it is to carefully check the legal framework and the actual ownership of shares in advance.

The Linqto insolvency also indicates the need to create more transparency in the pre-IPO market. Investors should be aware of the risks and provide sufficient information before investing in such products. The case makes it clear that the supposed chances of high returns are often associated with greater risks than it seems at first glance.